Dario Sciulli

Disability in Italian households: income, poverty and labour market participation

This article studies the economic effects of disabled members on Italian households, with the aim of identifying a suitable target group for welfare policies. Survey of Households Income and Wealth data for the year 2000 is used. Preliminary results show significant differences in levels of income and poverty diffusion to the detriment of households with disabled members. We propose an exogenous explanation: the replacement ratio between disability benefits and expected labour income shows that disability benefits do not compensate the potential incomes of the disabled person and of the possible carer, except in households with severe socioeconomic disadvantages. We also propose an endogenous explanation: applying a logit model we show that the labour market participation of the possible carer is reduced in households with disabled persons. In order to increase the income of the households with disabled members, policy recommendations include the provision of care services and structural policies to improve employment, income and educational opportunities for households at greatest disadvantage.

The Dynamics of Disability and Labour Force Participation in Italy

This paper investigates the effect of disability on labour force participation in Italy. Using information on limitations to daily activities, we apply a dynamic probit model accounting for state dependence and endogenous initial conditions to the longitudinal section of the 2004–2007 IT-SILC data. We find a significant and negative impact on current disability status that increases in seriousness (from 6.5 % to 10.7 %) in the case of labour force participation. Additionally, past disability status decreases the probability of current employment. Moreover, we find evidence that labour market participation is negatively affected by persistence in disability status (from 12.4 % to 28.1 % according to the seriousness of the limitations) and by the onset of disability (from 6.9 % to 11.3 %). Furthermore, we find that observable factors have a standard effect on labour market participation. Finally, we find evidence of true state dependence and endogenous initial conditions.

Wage persistence and labour market institutions: an analysis of young European workers

This article investigates the effects of Labour Market Institutions (LMIs) on wage persistence among young European workers at the beginning of their careers. We use European Community Household Panel (ECHP) data from 1995 to 2001 for 13 EU countries and estimate a three-level random intercept probit model that allows for unobserved heterogeneity both at the individual and country level. Overall, we find that LMIs explain wage persistence. In particular, we find a high level of Employment Protection Legislation (EPL) and a high level of Bargaining Centralization (BC) increase wage persistence.

Flexibility Policies and Re-employment Probabilities in Italy

Abstract We analyze the effects of Italian labor market reforms “at the margin” on the probability of exiting from non-employment and entering permanent and temporary contracts, using WHIP data for the period 1985–2004. We find that the reforms have strengthened the duration dependence parameter, meaning a stronger labor market gap in employment opportunities between the short- and long-term non-employed. We suggest that in a flexible labor market, long-term unemployment is used by firms as a screening device to detect less productive workers. We also find evidence of greater differences in employment opportunities according to gender, and of reduced differences between regional labor markets.

Labour Market Transitions in Italy: The Case of the NEET

The NEET (not in education, employment or training) is a recent construct aimed at identifying the youth disease for which young individuals are unemployed or inactive for reasons other than study (or training). The NEET is a risky phenomenon as it represents a factor of disengagement from society. The economic crisis has possibly exacerbated the phenomenon, especially in case of discouragement effects because of poor employment perspective and household income loss reducing enrolment rates. Italy shows one of the highest NEET rates in the EU and a relevant worsening during the economic crisis when compared to other OECD countries. This paper aims at bringing more evidence about the determinants of the labour market transitions of youth in Italy, especially looking at NEET condition and, then, what affects persistence in NEET status. We investigate what has changed in the period 2008–2013, then emphasize the role of the economic crisis and provide subgroup analysis to identify heterogeneities at age, gender, territorial and educational levels.

Skill Mismatch of Graduates in a Local Labour Market

In this paper we first review the (potential and actual) role of the Universities for the local economies in which they operate, especially considering the implications deriving from the degree of skill mismatch (over-education) in a local labour market. Then, in the second part of the paper, we realise an empirical investigation based on administrative information of an Italian University matched with the data of the job centres of the local (provincial) labour market in order to reconstruct the characteristics of the university-to-work transitions of graduates. Our results have important policy implications, since for local development it is crucial, among other things, to make the best use of all human resources and especially those with the highest educational level.

Conviction, gender and labour market status

Applying propensity score matching to the National Child Development Study, we found that conviction reduces the employment probability of middle-aged British females by about three times more than that of comparable males. Moreover, while males recover a part of the disadvantage by increasing self-employment, conviction results in a strong labour market marginalization for females, as unemployment and, overall, inactivity increase. Robustness checks tend to confirm these findings. This suggests both a stronger discouragement effect for females and/or a different attitude towards self-employment and/or excluding factors (e.g. access to borrowing).

Part-time Work and Wage Penalty Trend among Italian Women

This paper studies the evolution of the full-time/part-time wage differential among Italian women for the period 1993-2004. A generalized Heckman selection model is applied to estimate the wage equations, controlling for endogeneity in the second step. An observed part-time wage penalty is found. However, using the Oaxaca decomposition technique we actually find a (decreasing) wage premium for part-timers. This can be explained either in terms of over-payment of given characteristics or in terms of the values of the discrimination and the selection components. The individuals’ choice concerning their own type of contract appears to be important in determining the sign and the extent of the wage gap.